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The approaching SEC deadline for XRP spot ETF applications has intensified market anticipation, signaling a potential milestone for XRP’s institutional adoption.
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ProShares and Franklin Templeton have submitted updated ETF proposals, aiming to expand the U.S. crypto ETF landscape beyond Bitcoin and Ethereum.
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According to COINOTAG, the surge in XRP ledger activity and whale wallet accumulation reflects growing investor confidence ahead of the SEC’s decision.
SEC’s XRP ETF deadline nears, potentially boosting XRP price and liquidity as institutional interest grows amid rising on-chain activity and whale accumulation.
SEC XRP ETF Deadline: A Pivotal Moment for Institutional Crypto Investment
The Securities and Exchange Commission (SEC) is set to rule on spot XRP ETF applications submitted by ProShares and Franklin Templeton, with deadlines looming in mid to late June 2025. This regulatory decision is poised to be a defining moment for XRP, potentially marking its entry into the U.S. regulated ETF market alongside Bitcoin and Ethereum. Approval would grant institutional investors regulated access to XRP, enhancing market liquidity and broadening adoption. These developments underscore the growing institutional appetite for diversified crypto exposure through regulated financial products.
On-Chain Metrics Signal Growing Market Engagement
Recent on-chain data reveals a significant uptick in XRP ledger activity, with average daily active addresses surging to approximately 295,000 over the past week, a notable increase from the three-month average of 35,000 to 40,000. This spike indicates heightened network usage driven by market optimism surrounding the ETF approval prospects. Additionally, the number of wallets holding 1 million or more XRP tokens has surpassed 2,700 for the first time in over a decade, highlighting increased confidence among high-net-worth investors. These metrics suggest a robust foundation for potential price appreciation as institutional interest intensifies.
XRP Price Dynamics and Technical Indicators Ahead of ETF Decision
XRP has demonstrated a strong price recovery, registering a 7.35% gain within 24 hours and reclaiming a market capitalization of approximately $136.6 billion. Daily trading volumes surged by 148.09% to $3.74 billion, reflecting heightened market activity. Technical analysis reveals that the 200-day Exponential Moving Average (EMA) near the $2 level serves as a critical support, while the 50-day EMA shows bullish convergence above $2.25, indicating increasing buying pressure. The Relative Strength Index (RSI) has rebounded to 55.46, moving away from oversold territory and suggesting potential momentum toward overbought conditions in the short term.
Potential Price Trajectories Post-ETF Approval
Should the SEC approve the XRP spot ETF, price targets of $2.57 and $3.00 appear attainable, with the possibility of reaching $3.50 or higher within the month. This bullish scenario is supported by growing institutional demand and positive technical signals. Conversely, a delayed or negative regulatory outcome could trigger a bearish correction, with support levels at $2.14, $2.00, and potentially $1.94 coming into focus. Investors should monitor these key levels closely, as regulatory clarity will likely dictate XRP’s near-term price direction.
Market Implications and Strategic Considerations for Investors
The introduction of a U.S. regulated XRP spot ETF would not only enhance liquidity but also legitimize XRP within traditional financial markets, potentially attracting a new class of institutional investors. This could catalyze broader adoption and integration of XRP in diversified portfolios. Market participants are advised to consider the ETF decision as a critical catalyst, balancing optimism with prudent risk management amid ongoing regulatory developments.
Conclusion
The imminent SEC decision on XRP spot ETF applications represents a significant inflection point for XRP’s market trajectory. Elevated on-chain activity and whale accumulation underscore growing investor confidence, while technical indicators suggest potential for upward price momentum. Approval could unlock substantial institutional participation, driving liquidity and adoption. However, investors should remain vigilant to regulatory outcomes, as these will critically influence XRP’s short-term performance and market positioning.
